From the previous syllabus. Opens with items to classify as revenue or capital expenditure (4 marks), then asks for f...
Objective questions Section A
2
Objective question 2Section A
From the previous syllabus. These ask which transactions cause a difference, why a reconciliation is prepared, and which items are or are not reconciling items.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 2
3
Objective question 3Section A
From the previous syllabus. Asks what differs between a sole trader and a company, how equity is described, and which item is not a component of equity.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 3
6
Objective question 6Section A
From the previous syllabus. Asks which costs are included in or excluded from the cost of inventories under IAS 2, such as selling costs, conversion costs and carriage inwards.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 10
13
Objective question 13Section A
From the previous syllabus. Asks what the excess of expenditure over income is called, where the excess of income over expenditure is added, what represents members’ interest in a club, and what the difference between assets and liabilities of a not-for-profit organisation is called.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 19
Theory questions Written questions
1
Theory question 1Written paper
4 marks
From the previous syllabus. Asks you to define a trial balance and explain its purpose, and to mention four errors it will not reveal. The rest of the question corrects errors and prepares a corrected trial balance.
From the previous syllabus. Asks for journal entries to correct errors (5 marks) and a corrected trial balance (11 marks). Parts (a) and (b) belong to the trial balance topic.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 1
2
Theory question 2Written paper
From the previous syllabus. A social club gives a summary of receipts and payments with subscriptions, a donation, a Christmas dance and bar takings. Asks for the bar trading account (3 marks), the income and expenditure account (8 marks) and the statement of financial position (9 marks), showing workings.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 2
3
Theory question 3Written paper
20 marks
From the previous syllabus. Gives a trial balance and adjustments for inventory, prepaid rent, depreciation of a motorcycle at 20% of cost, accrued wages, commission received in advance, bad debts, bank interest, the allowance at 5% and drawings of goods and cash. Asks, using an extended trial balance, for the statement of profit or loss and the statement of financial position.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 3
4
Theory question 4Written paper
20 marks
From the previous syllabus. Asks for a reconciliation of the receivables control account (8 marks), a suspense account (4 marks) and a reconciliation of the payables control account (8 marks).
From the previous syllabus. Both ask you to open a suspense account and post the entries needed to clear it, after a control account reconciliation.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May 2016, Question 4
5
Theory question 5Written paper
20 marks
From the previous syllabus. A bookshop owner kept incomplete records. From his passbook, notebook, bank statements and oral information, asks you to find the profit or loss for the year (8 marks) and prepare the statement of financial position (12 marks), showing workings.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
From the previous syllabus. A club gives its assets and liabilities at the start of the year, including furniture, re...
Objective questions Section A
1
Objective question 1Section A
From the previous syllabus. Question 1 asks what accounting standards are mainly about. Question 2 asks for the name of the statement that lists assets and liabilities at a date.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 5
7
Objective question 7Section A
From the previous syllabus. Question 7 asks for the effect on the debit side when a receivable balance is posted to the credit side of the trial balance. Question 11 asks which error affects the balancing of the trial balance.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 8
9
Objective question 9Section A
From the previous syllabus. Asks which item does not belong to the same group in asset classification.
From the previous syllabus. Asks which item is not classified as an intangible asset when software, copyrights, licences, patents and plant are listed.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 9
12
Objective question 12Section A
From the previous syllabus. Ask for the source document for the returns inward book and for the document the buyer receives when damaged goods are returned.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 12
13
Objective question 13Section A
From the previous syllabus. Asks where a partner’s accumulated profits are recorded, where a loan advanced by a partner is shown, and the double entry for partners’ drawings.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 13
15
Objective question 15Section A
From the previous syllabus. Both ask for the effect on profit of the sale of an item of property, plant and equipment, with depreciation to the point of sale.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 18
20
Objective question 20Section A
From the previous syllabus. Asks which measure of inventory is acceptable, what IAS 2 deals with, why inventory is written down to net realisable value, whether a change from FIFO to weighted average is a change in estimate, and what IAS 2 does not require to be disclosed.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 20
Theory questions Written questions
1
Theory question 1Written paper
20 marks
From the previous syllabus. Asks you to post a list of transactions to the ledger accounts (14 marks), then close off each account and extract a trial balance (6 marks).
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 1
2
Theory question 2Written paper
6 marks
From the previous syllabus. Asks you to state six different methods by which a business can make payments to suppliers or receive payments from customers.
From the previous syllabus. Asks you to explain the receivables control account and the payables control account (3 marks each), and to reconcile the control accounts with the ledger totals from ten items (8 marks).
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 2
3
Theory question 3Written paper
8 marks
From the previous syllabus. A trial balance with a credit excess of ₦20,500. Asks for the journal entries and the suspense account.
From the previous syllabus. Asks you to prepare a schedule of property, plant and equipment for the notes, from opening cost, additions, disposals, depreciation rates and assets completed during the year.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 3
4
Theory question 4Written paper
20 marks
From the previous syllabus. A trader kept only a record of takings and payments, with cash banked and cheques drawn for business and private use. Asks for the cash book (6½ marks), the payables control account (2½ marks), the receivables control account (2 marks), the statement of profit or loss (5 marks) and the statement of financial position (4 marks).
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 4
5
Theory question 5Written paper
20 marks
From the previous syllabus. Gives the statements of financial position of a company for two years and asks for the statement of cash flows.
From the previous syllabus. Gives two years of statements of financial position, with land, buildings, equipment, share capital and loans, and asks for the statement of cash flows. The investing and financing sections come from the movements.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 5
6
Theory question 6Written paper
20 marks
From the previous syllabus. A club gives its assets and liabilities at the start of the year, including furniture, refreshment inventory, land, subscriptions received in advance and payables for drinks, and a receipts and payments account. Asks for the income and expenditure account and the statement of financial position.
The full wording of this question has not been added yet. This summary shows what it tests and where to revise it.
Source: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, November 2016, Question 6
Source and reference. These questions come from the Institute of Chartered Accountants of Nigeria (ICAN) Pathfinder for the Foundation Level Examination, Financial Accounting, 2016. When you use them, please cite the source, for example: ICAN Pathfinder, Foundation Level Examination, Financial Accounting, May or November 2016. Each question carries its own reference and a button to copy it.